July 2025 in Germany: Important changes you need to know

Newsworm
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June 25, 2025
Starting July 1, 2025, Germany introduces key changes including the end of visa appeal procedures, a 3.74% pension increase, higher wages for elderly care workers, and a combined care benefit for family caregivers. The tax return deadline returns to July 31, school holidays begin in 12 states, and Cash Group banks end free Shell ATM withdrawals. Stay informed!
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Photo by Freepik

July 2025 brings several important changes across Germany that will affect millions of residents, from retirees and caregivers to travelers and families. From new rules in visa processing and pension increases to better pay for care workers and nearing tax deadlines, this month marks a shift in policies designed to improve efficiency and support for citizens. Here’s what you need to know about these upcoming changes.

End of Visa appeals or Remonstration process

Starting July 1, the German Federal Foreign Office will abolish the remonstration procedure for rejected visa applications. This change affects both Schengen and national visas and is aimed at streamlining and digitizing the visa process globally.

Applicants will no longer be able to file objections directly with embassies, but they still retain the right to take legal action or reapply. The change follows a successful pilot that showed faster processing and reduced embassy workloads. For more details, read our full article on Germany's visa appeal reform here.

Pension increase for retirees

From July 1, 2025, statutory pensions have been adjusted upward, reflecting average wage increases to help retirees maintain purchasing power. This annual increase is part of a regular review mechanism. Approximately 21 million pensioners in Germany will benefit from a pension increase of 3.74%. For a standard pension based on average earnings and 45 years of contributions, this translates to an additional €66.15 per month on average. This adjustment is designed to help retirees keep pace with inflation and rising living costs.

Tax Return deadline

If you need to file your 2024 income tax return in Germany and are preparing it on your own, the deadline to submit is July 31, 2025. However, if you enlist the help of a tax advisor or a Lohnsteuerhilfeverein (wage tax assistance association), you can take advantage of an extended deadline, giving you until end of February, 2026, to file your return.

⚠️ Missing the deadline can lead to late fees, penalties, or interest charges, so it’s best to stay ahead of the curve.

Pay raise for German politicians

Starting July 1, 2025, members of the German Bundestag will receive a 5.4% salary increase, raising their monthly remuneration to approximately €11,834, up from around €11,227. This means members of parliament have effectively granted themselves an increase of almost €600 per month.

The raise is based on an automatic adjustment tied to the overall wage growth in Germany, as measured by the Federal Statistical Office’s nominal wage index.

Changes to cash withdrawals

As of July 1, 2025, customers of Deutsche Bank, Commerzbank, Postbank, and HypoVereinsbank (collectively known as the Cash Group) will no longer be able to withdraw cash at Shell petrol stations without paying a minimum purchase or service fee. This marks the end of a longstanding partnership that began in 2010, which allowed customers to withdraw up to €1,000 daily at approximately 1,300 Shell locations nationwide without any additional charges

Summer school holidays begin

The summer school holidays in Germany begin in July for 12 of the 16 federal states, including Bremen, Baden-Württemberg, Berlin, and North Rhine-Westphalia. These states start their breaks between early and late July, giving families time to enjoy summer activities and travel. The exceptions are Saxony, Saxony-Anhalt, and Thuringia, which start their holidays earlier in late June, and Bavaria, which begins its holidays later in August.

DHL International Shipping Rules

From July 1,  DHL will update global shipping rules. Small packages will be classified by country zones like parcels. New 2 kg parcel options for non-EU countries will be available, with mobile labels. Max weight for international parcels will be standardized to 30 kg. Expect moderate price hikes due to rising costs and global delivery fees. Refer the price changes for international packages from here DHL Parcel Prices International.

Care worker Pay rise

Starting July 1, 2025, Germany will implement significant increases in the minimum wages for employees in elderly care, as part of efforts to enhance the attractiveness of the profession and address workforce shortages.

  • Nursing staff: The minimum hourly wage will rise to €20.50, up from €19.50.
  • Qualified nursing assistants: Those with at least one year of training will see their minimum hourly wage increase to €17.35, from €16.50.
  • Nursing assistants: Unqualified staff will receive a minimum hourly wage of €16.10, up from €15.50.

New combined care benefit for family caregivers

From July 1, 2025, individuals with care level 2 or higher, which indicates a person needs significant help with daily activities like mobility, hygiene, or nutrition will receive a combined annual benefit of up to €3,539 for respite and short-term care, which their caregivers can use flexibly. This reform simplifies the system by merging both benefits into one pool and removing previous barriers, like the need for separate applications. For those receiving care level 2 or higher, respite care will be extended to eight weeks per year, and the six-month prior caregiving requirement before accessing benefits will no longer apply.

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